Amtek auto - koolfriend4u
For the investors of amtek auto,ahmednagar forgings & amtek india
I found one post on merger ratios of amtek auto, ahmednagar forgings,amtek India by Mr.Goldentip in a message board of MC
here it is :
"The merger ratio was 56 shares of Amtek Auto for every 100 shares of Ahmednagar Forgings; and 44 shares of Amtek Auto for every 100 shares of Amtek India. Currently the market price of Ahmednagar Forging is about Rs 70. So by buying 100 Ahmedforge, one could get 56 Amtek Auto at an approximate cost of Rs 126. By buying 100 Amtek India at about Rs 50, one could get 44 Amtek Auto at an approximate cost of Rs 115. However, Amtek Auto`s CMP is about Rs 175. So one could have easily made a gain of 40-50% if merger was okayed.
Now that the HC has ordered Amtek Auto to rework the merger ratio, I think they will go back with ratios which will leave little benefit in the hands of the investor. I also feel that the mutual funds and the financial institutions already knew about it. That is why they never switched from Amtek Auto to Amtek India and Ahmednagar Forgings even though everyone could see that there is money left on the table. I think Amtek Auto realized some time after announcing the merger ratios, that minority shareholders would make a neat gain if these merger ratios are okayed by the courts. They did not want this. So they also took the FI and MF into confidence and they did not switch to Ahmedforge/ Amtek India. If they did, today they would have cried foul. They Amtek Auto deliberately went slow in the court so that the process gets slowed down, and ultimately the court said the merger ratios are too old. I got hint of the conspiracy, when in Dalal Street Journal, they mentioned in an article "even if the merger does not happen".. I thought, why would the merger not happen? Why are they even talkign like this? That means they know something which we do not.
I believe now Amtek Auto will work out a merger ratio which is more in tune with the CMP, that is instead of getting 56 Amtek Auto for 100 Ahmedforge, one may get only about 40 shares of Amtek Auto. Similarly instead of 44 shares, one may get only about 30 Amtek Auto shares for 100 Amtek India."
Information is wealth.
presently amtek auto is entering in to BUY signal. lets c whether technical aligns with any merger ratio news...
